7-Eleven confirms payment of payroll tax

7-Eleven has refuted recent media reports that it “dodged” payroll tax in NSW and Victoria and says it paid almost $9 million in payroll tax in these states over the past three years.

Allegations of non-payment arose last week, after the NSW Office of State Revenue (OSR) released a response to a freedom of information request suggesting that 7-Eleven was not registered for or paying payroll tax in NSW in 2013/14, 2014/15 and 2015/16.

OSR has since released clarification, stating: “OSR has identified 7 Eleven businesses, including 7-Eleven Stores Pty Ltd, registered to pay payroll tax which have been voluntarily meeting their obligations in each of the three years stated above.

“An unintentional error occurred in the identification of 7 Eleven entities that may be liable to be registered for payroll tax. OSR first became aware of this error on Friday September 23 and has subsequently issued a supplementary GIPA decision.”

OSR is continuing to work with the Victorian state revenue office (which is coordinating on behalf of all relevant jurisdictions) to ensure that the correct payroll tax has been paid by 7-Eleven franchisees.

7-Eleven says it approached the Victorian SRO in October last year to seek their advice on whether there were any state tax implications arising out of the franchisee wage underpayment issue.

“7-Eleven has been proactive, transparent and compliant in respect of its payroll and other tax obligations,” it said in a statement. “Any accusation that the company avoids its tax obligations is appalling, disgraceful and untrue.”

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